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Smith has received numerous awards and accolades, including the Circle of Honor Award from the Congressional Medal of Honor Foundation; the 2010 President’s Award from the Transportation Research Forum; and the Lone Sailor Award from the U.S. Navy Memorial, among other honors.


A member of the Aviation Hall of Fame, named among the world’s best CEOs by Barron’s Magazine, and Chief Executive Magazine’s 2004 CEO of the Year, Smith has a B.A. from Yale University and served as a officer in the U.S. Marine Corps from 1966 to 1970.


Following are his thoughts on how the Army can take FedEx’s lessons learned and apply them to acquisition, logistics, and technology.


Q. The Army is looking for efficien- cies in every aspect of its operations. In short, the Army needs to “do more with- out more.” How does the Army’s current environment compare to the challenges you have faced at FedEx?


A. I think that what the Army faces today is similar to what FedEx and all organiza- tions are facing—the need to excel with fewer resources. The recession knocked us off the seat of our comfortable assumptions. When that happens, strong organizations look ahead and decide what they will need to do, not just to meet challenges but to come out ahead on the other side. How do you do that? Through stringent exami- nation of products, services, and processes. Through streamlining and eliminating redundancies. Through listening to your stakeholders and concentrating only on those things that add value to their world.


Q. FedEx has been recognized as both innovative and a great place to work; the two must be related. What is the single most powerful driver toward a culture of innovation in an organization of the Army’s size and scope?


GLOBAL REACH


FedEx has grown exponentionally since its launch in 1973 with 14 aircraft and 186 packages. (Photos courtesy of FedEx.)


A. Innovation and being a great place to work are related. If you give your people the training and encouragement to do their jobs well and come up with new ideas, they will enjoy coming to work. Being valued for hard work and good ideas does create a stimulating work envi- ronment for most people. As far as what drives a culture of innovation at FedEx and most organizations, it’s a combina- tion of dedication to the customer (or to a particular goal); a strong leadership team that shows people how they fit into the big picture; and encouragement/reward for working toward the next great idea.


Q. What can the Army learn from FedEx hiring, assignment, and promo- tion practices, so that the Army AL&T Workforce can truly provide “the deci- sive edge” to Soldiers?


A. Hire the best people; give them the tools and training to do their jobs well; then stand back and let them perform. If they deliver excellent results, recognize and reward them and give them bigger challenges. When people feel they are recognized for excelling, they gain the con- fidence and momentum to do even greater


things. And that results in the decisive edge we all need to succeed in the global arena.


Q. Army AL&T strives to provide Soldiers with the latest technology and processes when and where they are needed. How does FedEx meet customer needs and keep the lines of communica- tions open to ensure that customers get the service they need?


A. We talk to our customers constantly. Not only do we keep tabs on how they rate us in terms of quality, service, and performance, but we also talk to them in focus groups to give “texture” to their comments from various surveys and trans- action follow-ups. We don’t just check in once or twice a year, but on an ongoing basis. Through customers’ constant feed- back, we can modify our offerings, be they online tools, new shipping services, or better processes. Likewise, the Army can engage in regular conversation with its Soldiers to understand what works, what doesn’t, and what else they need.


Q. The Army encourages the application of Lean Six Sigma principles to identify opportunities for greater efficiency and


AS C.ARMY.MI L 87


CRITICAL THINKING


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